American Realty Investors (ARL) AI Stock Analysis

• Market Cap: $176.22M
• Dividend Yield: N/A
• Average Volume (3M): 8.68K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.30
• Revenue Growth: -6.30%
• EPS Growth: -470.49%
• Country: US
• Employees: N/A
• Sector: Real Estate
• Sector Strength: 74
• Industry: Real Estate - Development
• EPS (TTM): -0.91
• Shares Outstanding: 16,152,042
• 10 Day Avg. Volume: 13,762
• 30 Day Avg. Volume: 8,680
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 4.03
• Price to Cash Flow (P/CF): 3.70
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

American Realty Investors faces challenges with volatile revenues and recent net losses impacting its financial performance. Despite a strong balance sheet with no debt, the technical analysis shows bearish momentum, and valuation metrics are unattractive with negative earnings. The company has potential for stability but needs to improve profitability and address income volatility.

American Realty Investors Business Overview & Revenue Model

Company Description

American Realty Investors, Inc. (ARL) is a real estate investment company that primarily focuses on acquiring, developing, and managing a diverse portfolio of real estate properties. The company is involved in various sectors, including residential, commercial, industrial, and mixed-use properties. With a strategic approach to real estate investments, ARL aims to maximize shareholder value through the strategic management and development of its assets.

How the Company Makes Money

American Realty Investors generates revenue primarily through rental income from its property holdings, which include residential, commercial, and industrial real estate assets. The company also earns money through the appreciation and sale of properties within its portfolio, leveraging market trends to capitalize on the increased value of its real estate investments. Additionally, ARL may engage in joint ventures or partnerships to enhance its property development and management capabilities, contributing to its overall earnings. The company's strategic acquisitions and development projects are key factors that drive its revenue growth and profitability.

American Realty Investors Financial Statement Overview

Summary

American Realty Investors displays a mixed financial performance. The income statement highlights revenue volatility and recent net losses, while the balance sheet shows a strong equity position with no debt. Cash flow is improving but remains inconsistent. The company demonstrates potential for stability with its capital structure but needs to address income volatility and improve profitability.

Income Statement

The company's income statement shows fluctuating revenue with a declining trend in recent years. The gross profit margin stands at 100% for 2024, indicating no cost of goods sold, but this is unusual for a real estate company. The net profit margin for 2024 is negative, reflecting a net loss, which is concerning. Revenue growth has been inconsistent, with a decline in 2024 compared to 2023. EBIT and EBITDA margins are positive in 2024 but have shown volatility over the years.

Balance Sheet

The balance sheet reveals a strong equity position with a debt-to-equity ratio of 0 in 2024, indicating no debt burden, which is a positive sign for stability. The equity ratio is approximately 58.3%, suggesting a solid capital structure. Return on equity is negative in 2024, reflecting net losses. Overall, the balance sheet shows a reduction in liabilities and a healthy cash position.

Cash Flow

The cash flow statement displays inconsistent cash flow from operations, with positive free cash flow in 2024 after negative figures in previous years. The free cash flow to net income ratio is positive in 2024, indicating that the company is generating cash despite a net loss. Operating cash flow to net income is also positive, suggesting efficient cash management. However, the volatility in cash flows is a concern.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
47.32M	50.50M	37.54M	42.04M	59.03M
	Gross Profit
20.25M	22.60M	19.20M	21.18M	34.67M
	EBIT
-6.64M	-11.24M	495.23M	17.44M	22.61M
	EBITDA
6.78M	2.41M	604.07M	29.31M	37.36M
	Net Income Common Stockholders
-1.26M	3.97M	373.35M	6.45M	9.03M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
99.72M	127.19M	233.23M	66.75M	36.81M
	Total Assets
1.03B	1.02B	1.20B	770.57M	865.76M
	Total Debt
185.40M	182.68M	317.22M	372.84M	480.60M
	Net Debt
-19.92M	103.62M	203.78M	322.10M	443.79M
	Total Liabilities
230.53M	206.97M	385.31M	433.72M	535.36M
	Stockholders Equity
601.82M	617.00M	613.49M	240.14M	236.79M
Cash Flow		Free Cash Flow
1.09M	-31.05M	-46.55M	-135.24M	3.50M
	Operating Cash Flow
1.09M	-31.05M	-45.39M	-11.52M	3.50M
	Investing Cash Flow
-41.34M	26.81M	307.36M	100.82M	4.20M
	Financing Cash Flow
1.66M	-139.02M	-112.38M	-103.58M	-3.98M

American Realty Investors Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 10.91
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ARL, the sentiment is Negative. The current price of 10.91 is below the 20-day moving average (MA) of 12.41, below the 50-day MA of 13.45, and below the 200-day MA of 15.30, indicating a bearish trend. The MACD of -0.81 indicates Positive momentum. The RSI at 35.50 is Neutral, neither overbought nor oversold. The STOCH value of 24.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ARL.

American Realty Investors Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IRT	75 Outperform	$4.50B	109.07	1.14%	3.37%	-3.17%	―
UDR	71 Outperform	$13.39B	157.54	2.41%	4.20%	2.72%	-80.72%
EQR	69 Neutral	$24.96B	23.48	9.36%	4.26%	3.80%	24.08%
CPT	69 Neutral	$15.62B	71.99	3.38%	3.48%	0.55%	―
Sector *	61 Neutral	$4.43B	16.22	-3.23%	11.37%	6.25%	-21.19%
NXRT	60 Neutral	$912.30M	843.50	0.25%	5.45%	-6.42%	-98.33%
ARL	47 Neutral	$176.22M	―	-2.41%	―	-6.30%	-470.49%